Part II

HSTM 4451: Stock Market Project Student Instructions The primary objectives of this project are to become familiar with businesses in the sport industry and to become familiar with investment strategies by using common stock investments. The project is also designed to be a fun competition between the students. For this project, we will be using the New York Stock Exchange (NYSE) and National Association of Securities Dealers Automated Quotations (NASDAQ) and no other exchanges. You will be given a fictional $10,000 to invest in NYSE, NASDAQ, over-the-counter (OTC), or other stocks approved by the instructor. You need to identify sport-related stocks to purchase (for help, see the list of sport-related stock at the end of this document). To keep the project simple and easy to monitor, you must manage no fewer than three stocks and no more than six stocks at any time. You must also always maintain at least a 50% weighted portfolio in stocks (i.e., you must invest at least $5,000). A 100% stock position is not required, but for the purposes of this exercise, non-invested money will receive no dividends (but will not diminish in value). The objective is to acquire as much capital as possible through timely investments. This project will be individual in nature. You are required to monitor the value of your investments. Note: This will not simply be run on the honor system. As you’ll see, the stakes are high. Therefore, a screenshot (or price quote printout) of each stock must be included in each ledger, with the purchased or sold stock highlighted. The bulk of the grading portion of the project will be focused on the ledger portion of the assignment due on March 8th. You must keep track of how many shares of each stock you currently retain and the value of those stocks for certain weeks (To keep this simple, you can only buy/sell 1 time per week). To keep it simple, you will be permitted to trade only on certain weeks (rather than every day, like real investors in the market). The following are the specific weeks students are allowed to trade (buy and sell) in the market. Buy-in: Week of January 19th (or no later than Friday, January 23rd) Trade Weeks: January 26th, February 2nd, February 9th, February 16th, February 23rd, March 2nd Cash out: No later than March 6th (ledger is due on March 8th) You must keep a minimum of 3 stocks in your portfolio the entire seven weeks. You can change stocks in your portfolio over the term, but you must have at least 3 stocks in your portfolio the entire seven week trading period. You will sell all your stocks in the seventh week. Part I: Company and Company Stock Evaluation (25 points): For this assignment, you will need to analyze the stocks you initially purchased. Remember, you can select between 3 to 6 stocks to purchase, all except for 1 must be sport related. This part of the project is due on January 25th (I will allow you to purchase 1 company’s stock outside of sport). Your stock evaluations should include the following information:

• Describe (one or two paragraphs) how this organization is related to sport. What does the organization do in the sport industry?

o If you decide to purchase a company’s stock not related to sport, please include a brief description of the company (what does the company do).

• Why did you choose this company (one or two paragraphs)? You may have made this decision based on gut instinct or the likability of the company’s products or services, but you will quickly learn with real money that your heart may not be as wise as your head!

• Please also note the following for each company you have invested in (list format is fine): o Company name o Symbol o Top competitors o Annual sales/revenue o Net earnings/income o Earnings per share o P/E ratio o 52-week highs and lows o Comparison to industry (peers)

 Profit margin  Revenue/sales  Net income  Earning per share

You can use the web to find this information because it offers up-to-the-second updates. You can use a brokerage house or the company website to answer most, if not all, of the listed questions. I suggest using CNBC’s webpage because you will find all the information you need. Other popular websites include schwab.com, fidelity.com, and Yahoo’s finance pages. You will also turn in your first ledger reflecting your buy-in to the stock market project at this time. Be sure to include a copy of the screenshot or a one-page printout of the CNBC web page listing your current stock values (including date purchased). The company stock evaluation should be a separate document from the stock ledger (excel file). The ledger, and all subsequent ledgers, should include a screenshot or one-page printout (for each stock) from the CNBC web page. You must turn in an initial ledger of your financial position at the class meeting on January 25th (you can use the closing price of the stock on Friday, January 23rd or the price at any time on Friday….if you are up and ready to purchase) for each stock in your portfolio. Note: This means you’ll want to be up early on Friday to have your latte, and begin to decide when to purchase stocks or you can use the closing price on Friday, January 23rd. Your initial Stock Ledgers (excel file) should contain a brief, accurate, easy-to-understand numerical account of your portfolio, including the following:

• The company’s name • The company’s trading symbol • The number of shares purchased • The current price per share • The current total value of each stock (number of shares x price per share) • Total cash reserves (if you do not use all your money initially to purchase stocks) • Total portfolio value (should equal $10,000)

IMPORTANT: With each ledger, you must include a screen shot (either printed or saved as a PDF file) listing your current stock values on the day purchased. If these are not included, you will not get credit for the assignment and will be exempt from the ultimate prize. Part II: Stock Ledgers and Performance (25 points): Students must keep track of how many shares of each stock you currently retain and the value of those stocks for certain weeks after your initial buy in. To keep things simple and to ensure our stock ledgers do not get too complex, students are only allowed to buy/sell stocks 1 time per week rather than every day, like real investors (during the assigned Trade Weeks – See below). The following are the specific weeks students are allowed to trade (buy and sell) in the market. Buy-in: Week of January 19th (or no later than Friday, January 23rd) Trade Weeks: January 26th, February 2nd, February 9th, February 16th, February 23rd, March 2nd Cash out: No later than March 6th (ledger is due on March 8th) A completed sample stock ledger has been provided. You will need to fill out and turn in a similar ledger for your stocks. This ledger tracks your cash reserves (how much of the initial $10,000 you did not invest in stocks); the value of your portfolio on any given exchange week (remember, there are seven exchange weeks); and your buying and selling of stock during the seven exchange weeks. Note: I have provided an example to follow. You will need to create your OWN stock ledger, but based your ledger off my example. Please note this is the simplest of ledgers. In this example, the student bought stock initially then did not buy or sell any additional stock all semester long. He sold at the end of the semester (4/15), and that was his only sale. You may buy and sell as you wish; in doing so, you will need to add in rows for the new stock. This ledger shows only three stocks, but you are allowed to hold up to six stocks (only one stock can be none sport related). Note: the sample ledger is set up to auto-calculate in various places. You should create your OWN ledger and include calculations based on the excel file you created. Your initial Stock Ledgers should contain a brief, accurate, easy-to-understand numerical account of your portfolio, including the following:

• The company’s name • The company’s trading symbol • The number of shares purchased • The current price per share • The current total value of each stock (number of shares x price per share) • Buy-in cost (–) *reflects transactions • Sell amount (+) *reflects transactions • Amount made or lost (+/–) on shares • Total cash reserves • Total portfolio value with dates

At the conclusion of the class, I will evaluate how well you did in selecting stocks and investing the stock market. Your final grade for Part II will mainly depend on how detail and accurate your ledgers are. You should have at least 7 pages (one for every trading week) in your final stock ledger file. The majority of your grade will be based on the final stock ledger that will show all 7 weeks of trading and your final return on investment. At the conclusion of the class, we will determine who has gained the most income from his or her investments. Although we are unable to use real money to increase the stakes of this project, we will substitute a different reward to up the ante. The person gaining the highest return on investment for this project will earn an extra 10 points to their final class point total. Please see me if you have any questions. Sport-Related Stock (List is not comprehensive) Academy Sports—sporting goods retailer in Texas; (ASO) on NasdaqGS Activision Blizzard, Inc.—global interactive entertainment company; (ATVI) on NasdaqGS Adidas AG—sporting goods provider based in Germany; (ADDYY) on OTC Amer Sports—sporting goods provider based in Finland; (AMEAS) on OMXH Asics Corporation—sporting goods provider based in Japan; (ASCCF) on OTC. TYO: 7936. Atlanta Braves Holdings—owns and operates a baseball club; (BATRA) on NasdaqGS Bally's Corporation—gaming, hospitality, and entertainment company based in Rhode Island; (BALY) on NYSE Callaway Golf—golf apparel and equipment provider based in California; (CLY.F) on Frankfurt Exchange Churchill Downs Incorporated—provides racing, online wagering, and gaming; (CHDN) on NASDAQ Daktronics—manufactures electronic display systems; (DAKT) on NasdaqGS Dick’s Sporting Goods—sporting goods and apparel retailer based in Pennsylvania; (DKS) on NYSE DraftKings Inc.—multichannel sports betting and gaming technologies based in Massachusetts; (DKNG) on NasdaqGS EA Sports—develops and distributes games and content; (EA) on NasdaqGS Flutter Entertainment plc—sport betting and gaming company based in Ireland; (PDYPY) on OTC

Foot Locker—athletic footwear and apparel retailer based in New York City; (FL) on NYSE Formula One Group—engages in motorsports business in the United States; (FWONA) on NasdaqGS Fox Corporation—news, sports, and entertainment company; (FOX) on NasdaqGS Genius Sports Limited—provides products and services to the sport industry; (GENI) on NYSE Hall of Fame Resort & Entertainment Company—resort and entertainment company based in Ohio; (HOFV) on NasdaqCM Light & Wonder—cross-platform games company based in Nevada; (LNW) on NasdaqGS Live Nation Entertainment, Inc.—live entertainment company based in California; (LYV) on NYSE Madison Square Garden Company—sports, media, and entertainment company based in New York City; (MSG) on NYSE Madison Square Garden Sports Corp.—professional sports company based in New York City; (MSGS) NYSE Manchester United plc—markets and sells sports apparel; (MANU) on NYSE Mizuno—sporting goods provider based in Japan; (MIZ.F) on Frankfurt Exchange Nike—sporting goods provider based in Oregon; (NKE) on NYSE PointsBet Holdings Limited—provides sports and iGaming betting products and services in Australia; (PBTHF) on OTC Puma—sporting goods provider based in Germany; (PUM.DE) on XETRA Sinclair—provides content on local television stations and digital platforms; (SBGI) on NasdaqGS Sportsman's Warehouse—Outdoor retailer in Utah; (SPWH) on NasdaqGS Take-Two Interactive Software, Inc.—develops and markets interactive entertainment solutions; (TTWO) on NasdaqGS Under Armour—provides sports apparel, footwear, and accessories; (UAA) on NYSE World Wrestling Entertainment—professional wrestling corporation based in Connecticut; (WWE) on NYSE Tangent to Sport Stock (List is not comprehensive) Amazon—sports retail & streaming, Seattle, WA; (AMZN) on NasdaqGS AT&T—sport media & broadcasting, Dallas, TX; (T) on NYSE Anheuser-Busch—alcohol sponsorships, St. Louis, MO; (BUD) on NYSE American Express—sports sponsorships, New York, NY; (AXP) on NYSE ANTA Sports—sports apparel and accessories in China; (ANPDY) on OTC Aramark—food services for sports venues, Philadelphia, PA; (ARMK) on NYSE Bell Canada—sports broadcasting, Verdun, Canada; (BCE) on NYSE Cablevision—owns sports teams and media, Bethpage, NY; (CVC) on NYSE Cisco—networks for sports venues, San Jose, CA; (CSCO) on NASDAQ Clear Channel—media services, San Antonio, TX; (CCO) on NYSE Coca-Cola—beverage sports sponsorships, Atlanta, GA; (KO) on NYSE Columbia Sportswear—outdoor apparel and gear in Oregon; (COLM) on NasdaqGS Comcast—owns sports teams and media, Philadelphia, PA; (CMCSA) on NasdaqGS The Walt Disney Company—sports media network, Burbank, CA; (DIS) on NYSE eBay—online marketplace, San Jose, CA; (EBAY) on NasdaqGS Interpublic Group—sport marketing services, New York, NY; (IPG) on NYSE

JPMorgan Chase—sports sponsorships, New York, NY; (JPM) on NYSE Eastman Kodak—imaging, Rochester, NY; (KODK) on NYSE JD Sports—sports fashion retail in the UK; (JD.L) on London Stock Exchange Leejam Sports—operates sports centers in Saudi Arabia; (1830.SR) on Saudi Stock Exchange Liberty Media—owns sports teams and media, Englewood, CO; (FWONA) on NASDAQ Mastercard—sports sponsorships, Purchase, NY; (MA) on NYSE McDonald's—global sports sponsorships, Oak Brook, IL; (MCD) on NYSE Nintendo—owns sports team, Kyoto, Japan; (NTDOY) on OTC PENN Entertainment—owns casinos and sports media, Wyomissing, PA; (PENN) on NasdaqGS PepsiCo—sports and beverage sponsorships, Purchase, NY; (PEP) on NASDAQ Procter & Gamble—sports sponsorships, Cincinnati, OH; (PG) on NYSE Progressive—insurance, Mayfield Village, OH; (PGR) on NYSE Rogers Communications Inc.—owns sports teams and media, Toronto, Canada; (RCI) on NYSE Rogers Communications—owns sports teams and media, Toronto, Canada; (RCI) on NYSE Sky—sports broadcasting, London, UK; (Sky) on London Stock Exchange Time Warner—owns sports teams and media, New York, NY; (TWX) on NYSE Verizon—sponsors sports leagues and venues, New York, NY; (VZ) on NYSE Visa—major sports sponsorships, Foster City, CA; (V) on NYSE XM Satellite Radio—sports radio partner, Washington, D.C.; (XMSR) on NASDAQ Xerox—printing equipment, Norwalk, CT; (XRX) on NYSE